"During the second quarter, market conditions deteriorated and activity levels for both corporate and investing clients were lower given continued instability in Europe and concerns about global growth," said Goldman chief executive Lloyd Blankfein.

The bank makes most of its money from providing services to big institutional investors such as multi-national corporations, pension funds and other financial companies.

Revenue from share or equity trades fell 12% to $1.7bn from the same period in 2011.

However, that was offset by increased income from trading in bonds, currencies and commodities.

Goldman made $2.19bn from these services, up 11% from the second quarter of 2011.